Eye-on-Retail Daily Tipsheet Archives

“Target’s Canadian problem: empty shelves” by Marina Strauss at The Globe and Mail via @RetailProphet. “Target Corp. is struggling with a problem that few retailers face: too much demand for too little inventory, risking dampening customers’ enthusiasm as the U.S. discounter gets ready to open a new wave of stores…“We definitely were slammed,” said John Morioka, senior vice-president of merchandising at Target Canada. “We thought there would be an initial bump. The bump has not levelled off to the degree that we thought.” Read more: http://www.theglobeandmail.com/report-on-business/targets-canadian-problem-empty-shelves/article9936379/

“Target Set to Open Additional 21 Stores in Ontario” “Target is pleased to announce the soft opening dates for 21 locations across Southwestern Ontario, including 17 locations opening on March 19 and four locations opening on March 28. The soft openings follow the launch of three pilot stores and will allow Target to continue to engage in volume testing to ensure stores are prepared to deliver the true Target brand experience to guests ahead of grand opening in early April.” Read more: http://media.prnewswire.com/en/jsp/latest.jsp?resourceid=6496643&access=EH

“Sandy spurs Home Depot to open N.J. satellite store” by Erik Larsen at Asbury Park Press via USA Today. “The idea grew out of a conversation between a motel owner and one of The Home Depot’s associates: What could the home improvement retailer do to help Seaside Heights, N.J., rebuild as quickly as possible? Nine weeks later, the borough had its answer. For the first time, The Home Depot has opened a satellite store in a storm-ravaged community to help spur the post-Sandy recovery efforts at the Jersey Shore. “I understand it’s the only Home Depot showroom of its kind in the United States,” said New Jersey Gov. Chris Christie, who personally attended the “board-cutting ceremony” Monday — The Home Depot’s version of a ribbon-cutting.” Read more: http://www.usatoday.com/story/news/nation/2013/03/18/sandy-home-depot-satellite-store/1998167/

“Home Depot brings help to Sandy-ravaged Seaside Heights” by Nora Muchanic at ABC News (Video and Text). “Residents and contractors who are rebuilding can now order at a showroom at Sumner and Central without going to the mainland. “We’ve had two homes on the Barrier Island that were taken down by Sandy, as a result we are rebuilding and this is convenient,” George Schmitt of Ortley Beach said. “Place an order, whatever we sell at Home Depot, and we’ll bring it to their site, to their house for them,” Bob Striffolino of Home Depot said.” See and read more: http://abclocal.go.com/wpvi/story?section=news/local&id=9031998

“Sophisticated consumers more accepting than ever of mobile as a shopping channel” by Paul Skeldon at Internet Retailing. “A study by Stibo Systems has found that 59% of consumers have made a purchase on mobile so far this year – twice as many as did this time in 2011. And one in five of these has been made on a tablet, up from only 5% in 2012 and 2% in 2011. The report also finds that the amount of women (14% in 2013 vs 45% in 2012) who ‘never’ use a mobile device to review products before making a purchase has fallen much faster than men (19% in 2013 vs 36% in 2012).” Read more: http://etail.sharedby.co/share/nAEQXJ

“Home Depot to Lowe’s Win as $40,000 Wine Cellars Return” by Chris Burritt at Bloomberg. “Spending for U.S. remodeling in the 12 months through Sept. 30 may climb 20 percent from a year earlier to $145.5 billion, according to a forecast by Harvard University’s Joint Center for Housing Studies. “When the sky is no longer falling, when prices are improving, homeowners are willing to invest,” said Scott Mosby, co-owner of St. Louis-based Mosby Building Arts, an architectural and remodeling company. Mosby, 59, is renovating the basement of a St. Louis home for $230,000, including $40,000 to add a wine cellar.” Read more: http://www.bloomberg.com/news/2013-03-19/home-depot-to-lowe-s-win-as-40-000-wine-cellars-return.html

“How Private Equity Helped Target Stomp into Canada’s Retail Sector” by Kirk Falconer at PE Hub. “It is important to recall that Target’s arrival in the Canadian market has its origins in the privatization of Hudson’s Bay Co. (HBC) in 2006 by American entrepreneur Jerry Zucker and the company’s acquisition two years later by New York private equity firm NRDC Equity Partners…The Zellers’ sale to Target was one of the most important decisions made during HBC’s private equity-backed tenure. (HBC returned to public ownership in November 2012). Over the course of last year, Zellers steadily liquidated outlets to pave the way for Target’s Canadian launch. Wal-Mart Stores Inc. also gained from Zellers’ demise, developing its long-term presence in Canada through acquisition of those leases that didn’t align with Target’s growth strategy.” Read more: http://www.pehub.com/176093/private-equity-canadas-fast-changing-retail-sector/

“Wanted: “Best Unknown Business in America” “Are you the country’s best unknown business? You know the kind. Maybe it’s that killer technology start-up that has yet to make the radar. Or perhaps it’s some new wonder drug that will increase life expectancy. Or could it be that new sustainable business that’s doing great financially while doing good for the world? If so, you could win $10,000 in cash and a $40,000 public relations campaign from one of the country’s largest public relations firms.” Read more: http://www.businesswire.com/portal/site/home/permalink/?ndmViewId=news_view&newsLang=en&newsId=20130318006026&div=-1245645151